MGM said it planned to use the loan proceeds for general corporate purposes even though it is currently debt free and already has a bank line of credit for more than $600 million.

Analysts have speculated MGM may want the money to expand production or make an acquisition, or it could be part of preparation for a IPO, although the company has not given any indication it is planning one in the past year.

MGM Holdings' (the legal name of the company) thinly traded stock on private markets is currently $78.25 a share, up from $54.25 one year ago.